Can I Get a Home Loan at 60 in Australia? (2026)
Yes — getting a home loan at 60 in Australia is possible, but more lenders will require you to explain your exit strategy, and shorter loan terms are more common. The key shift from borrowing at 50 is that retirement may be 5–7 years away, so lenders focus more on your retirement income and assets.
The Core Challenge at 60
At 60, a standard 30-year mortgage would end when you are 90. Most lenders will want to understand:
- How long you intend to work (your income will change at retirement)
- What retirement income or assets you have to continue servicing the loan
- Whether there is a credible plan to repay the loan (not just service it) — the exit strategy
This does not mean lenders will decline your application — but the assessment is more nuanced than for a 35-year-old applicant.
Loan Terms Available at 60
| Loan term | Age at end of loan | Lender attitude |
|---|---|---|
| 30 years | 90 | Some lenders accept; strong exit strategy required |
| 25 years | 85 | More lenders accept; still requires planning discussion |
| 20 years | 80 | Most mainstream lenders accept this readily |
| 15 years | 75 | Broadly accepted; repayments are higher |
| 10 years | 70 | Broadly accepted; within working life for many |
Choosing a shorter term: Higher repayments, but less interest paid and the loan ends before or early in retirement. For borrowers with strong income at 60, this is often the most practical path.
Exit Strategy — What Lenders Accept
An exit strategy is your plan for how the loan will be repaid when your income changes (typically at retirement).
Acceptable exit strategies:
| Strategy | What lenders need to see |
|---|---|
| Superannuation | Super balance statement; projected at retirement age |
| Downsizing (selling the property) | Property value sufficient to repay loan |
| Other investment property or assets | Statements showing asset values |
| Age Pension plus investment income | Income projection; estimated pension entitlement |
| Continuing to work past 65 | Evidence of ability and intent; some lenders do not accept “work forever” as a standalone plan |
The more concrete the exit strategy documentation, the smoother the application process.
Income Assessment at 60
If you are still working: Your current employment income is the primary assessment basis — same as for any borrower. If you are still 5–7 years from retirement with strong income, many lenders assess you similarly to any employed borrower.
If you have already reduced hours: Part-time income or semi-retirement income is assessed on what you actually earn — which reduces borrowing capacity. Be realistic about this in your planning.
If you have investment or pension income: Superannuation pension income (from your super fund), investment property income, and some other income streams can be counted. The lender will want documentation.
Super Access at 60+
An important financial milestone: Australians born after 1 July 1964 have a preservation age of 60. Once you have retired (or ceased an employment arrangement), you can access super from age 60 as a tax-free lump sum or pension.
For borrowers at 60 approaching this age, super access can be a significant component of the exit strategy and/or lump sum repayment plan.
Types of Loans for Older Borrowers
Standard variable or fixed home loans: Available from mainstream lenders with appropriate exit strategy documentation.
Line of credit / revolving credit: Some older borrowers use a line of credit drawn against their home equity — particularly useful for those who do not want a large lump sum loan.
Reverse mortgage: A reverse mortgage allows older homeowners (typically 60+) to borrow against their home equity without making regular repayments — interest capitalises and the loan is repaid when the property is sold. This is a specific product for equity release, not home purchase. ASIC regulates reverse mortgages with specific consumer protections. Always seek independent financial advice before considering a reverse mortgage.
Frequently Asked Questions
Will a lender decline me just because I’m 60?
Age alone is not a valid reason to decline a loan under Australian anti-discrimination law. However, lenders can consider whether the loan is suitable given your likely income trajectory and retirement timing. A credible exit strategy and strong financials significantly improve approval prospects.
I’m 60 with $1.2M in super and want to buy a $600,000 property. Is this straightforward?
Generally, yes. Your super represents a clear exit strategy (more than enough to repay the loan) and if you have current income sufficient to service repayments, most lenders should be able to accommodate this.
Should I use super to pay cash instead of getting a mortgage?
This depends on your tax position, super fund investment returns, current interest rates, and personal preferences. Drawing down super to purchase property eliminates interest costs but also removes invested funds. A financial adviser can help you model both scenarios. There is no universal right answer.
Related Guides
- Can I Get a Home Loan at 50?
- Can I Get a Mortgage If I’m Retired?
- Selling Your Home and Renting in Retirement
- Can I Get a Home Loan? — Eligibility Hub
This article provides general information about home loan eligibility for Australians aged 60 and over. Lending policies vary significantly. Speak with a licensed mortgage broker and, for retirement planning decisions, a licensed financial adviser. Find one through MoneySmart.